Environmental

Prevention of Global Warming

Basic Approach

The JXTG Group is working to reduce CO2 emissions across the entire supply chain in order to contribute to the development of a low-carbon society. To achieve this, we are reducing CO2 emissions by promoting energy conservation during the production stage (business activities), as well as developing and selling environmentally friendly products that have a lower environmental impact, while also expanding our renewable energy business.

For information on our environmental management structure, see Environmental Management.

Response to Climate Change

Based on the results of environmental impact assessments conducted under the environmental management system at our refineries and other business sites, we carry out emergency training drills for flooding and tidal surges and implement initiatives to prevent heat stroke.

For information on our company-wide initiatives on climate change, see Risks and Opportunities Concerning Climate Change.

Initiatives at Production Sites*

Energy Conservation

The Group's CO2 emissions in fiscal 2017 totaled 29.47 million tons, roughly unchanged from the previous fiscal year, even though the utilization rate of production facilities increased.
Greenhouse gas emissions other than CO2 totaled 0.15 million tons.
At the Chiba Refinery, to recover xylene fractions from gasoline, we introduced an energy-efficient distillation tower technology, developed overseas, which enables the distillation of two towers in a single tower. As a result, the refinery was able to reduce energy consumption by around 20%. At the Negishi Refinery, we undertook a total of seven major investments in energy conservation, timed to coincide with regular maintenance work. These investments included increasing the number and efficiency of heat exchangers and increasing the efficiency of rotary machines. As a result, the refinery was able to reduce CO2 emissions by around 0.07 million tons.
Through these and other initiatives, we reduced our crude oil refining energy consumption intensity by 0.1 points.
In addition, the energy consumption intensity of smelting and refining facilities was 13.6 GJ/t and the intensity of CO2 emissions was 0.86t-CO2/t. Both figures were little changed from last year.
In fiscal 2017, the Group invested around 6.0 billion yen in facilities for energy conservation. Going forward, we remain committed to promoting greater energy conservation by introducing energy-saving technologies and optimizing operations at our refineries and plants.

  • *Scope 1 and Scope 2 as defined in the GHG Protocol.

Changes in Total GHG Emissions

Notes:

  • Calculated in accordance with the Act on Promotion of Global Warming Countermeasures.
  • For detailed data, see Data.

Energy Consumption Intensity for Oil Refining

Note:

  • Covers the refining sites of the JXTG Nippon Oil & Energy Group.

Energy Consumption Intensity for Smelting and Refining

Note:

  • Covers the smelting and refining sites of the JX Nippon Mining & Metals Group.

CO2 Emissions Intensity for Smelting and Refining

Note:

  • Covers the smelting and refining sites of the JX Nippon Mining & Metals Group.

Breakdown of GHG Emissions Other Than CO2

Emissions other than CO2 Tons 153,727
1. CH4 (methane) Tons 41,480
2. N2O (nitrous oxide) Tons 111,725
3. HFCs (hydrofluorocarbons) Tons 308
4. PFCs (perfluorinated compounds) Tons 0
5. SF6 (sulfur hexafluoride) Tons 214
6. NF3 (nitrogen trifluoride) Tons 0

The main greenhouse gases other than CO2 include CH4, produced during crude oil extraction, and N2O, which is emitted from heating furnaces during the oil refining process.
We will continue working to lower these and other GHG emissions.

Initiatives for Operations Outside of Production Sites*

The Group's CO2 emissions from product consumption by customers in fiscal 2017 amounted to 240.95 million tons.
The JXTG Group is working to reduce CO2 emissions outside of its production sites by selling environmentally friendly products. Currently, we are working toward our targets of reducing these emissions by 1.15 million tons in fiscal 2019 and by 1.8 million tons in fiscal 2030, both compared to fiscal 2009.

  • *Scope 3 as defined in the GHG Protocol.

R&D

The Group spent a total of around 20 billion yen on research and development.

Response to Climate Change

The JXTG Group is moving ahead with research into climate change response in the following fields in order to address climate change issues.

  • Rationalization and streamlining of oil refining processes
  • Cellulose-type bio-ethanol
  • Technical development for the manufacture, storage, transport and supply of hydrogen
  • Development of sensor materials to promote greater use of IoT

Supporting Research on Hydrogen Energy Supply through the ENEOS Hydrogen Trust Fund

JXTG Nippon Oil & Energy established the ENEOS Hydrogen Trust Fund in March 2006 in order to help speed up the realization of a hydrogen society.
The fund is Japan's first public trust specializing in supporting research on the supply of hydrogen energy. The fund is large enough that a stable supply of research grants worth 50 million yen each year (up to 10 million yen per project) can be provided for 30 years to support innovative and pioneering basic research into hydrogen energy supply systems.

Procurement/Transport

With regard to marine transportation, which primarily involves the transport of crude oil to Japan, the Group is making active efforts to use oil tankers with superior delivery efficiency and fuel efficiency, and to improve fuel consumption by optimizing transportation routes and controlling navigation schedules and speeds.
Regarding land transportation, in addition to consolidating oil depots and improving the distribution efficiency of tank trunks, the Group is working to reduce fuel consumption through efforts such as insisting that drivers turn off their engines when stopped.

Distribution

The Group is actively implementing power-saving measures at its service stations nationwide through efforts such as the installation of photovoltaic power generation systems and the adoption of LED lighting.

Consumption

The Group is promoting greater energy conservation at the consumption stage through the development and sale of environmentally friendly products, which contribute to a lower environmental impact.

Main environmentally friendly products

  • Fuel-saving lubricants
  • Natural gas (LNG)
  • Liquid crystal polymers

Collaboration with Business Partners (Green Procurement)

When purchasing equipment and materials, the Group practices green procurement, taking into account the environmental burden and other social impacts.
For more information, see Supply Chain Management.

Renewable Energy and Hydrogen Supply Business Initiatives

As an initiative for the use and supply of low-carbon energy, the Group operates a renewable energy power generation business, which leverages renewable energy sources such as solar power, wind power and hydro power, and a hydrogen supply business.

Generation Capacity by Energy Source (as of July 2018)

Thermal (12 sites) 1,644MW
Solar (17 sites) 43MW
Hydro (1 site) 5MW
Wind (2 sites) 3MW
Total 1,695MW

Power Generation by Renewable Energy (2017)

Solar 50,716MWh
Hydro 26,686MWh
Wind 5,146MWh

Note:

  • The GHG emission factor for JXTG Nippon Oil & Energy's electric power business in fiscal 2016 was 0.000495 t-CO2/kWh (after adjustment).

Advancement of Renewable Energy Power Generation Business for CO2 Reduction

In light of the introduction of the feed-in tariff system for renewable energy in 2012, the JXTG Group has been actively engaged in the mega solar power generation business using its idle land. Beginning with the start of commercial operation of the Sendai Mega Solar Power Plant in February 2013, the Group has established mega solar power plants in 17 locations nationwide. In fiscal 2016, the Group began operation of new mega solar power plants constructed on the premises of Nihonkai Oil in Toyama Prefecture, at the former site of the Fukui Oil Depot in Fukui Prefecture, and at the site of the former Gamagori Gas Terminal in Aichi Prefecture.
The Group is also actively advancing power generation businesses using renewable energies other than solar, including biomass, hydro power and wind power, and has amassed a total generation capacity of approximately 49,000 kilowatts (as of June 2018).
The Group will continue to utilize these clean energies, thereby contributing to the reduction of CO2 emissions.

Expansion of Renewable Energy Power Plants Nationwide

A wind turbine
Kakinosawa Hydropower Plant
Uruma Mega Solar Power Plant

Building an Integrated Hydrogen Supply System, from Production to Transport and Sales

Hydrogen is a clean energy source that does not emit CO2 during use. Because it enables the use of renewable energy and untapped energy sources, hydrogen is considered an important form of energy for the future.
In Japan, hydrogen use has already begun in the field of mobility. As of September 30, 2018, there were around 2,800 fuel cell vehicles nationwide. Japan is also the first in the world to reach 100 hydrogen stations, 40 of which are operated by JXTG Nippon Oil & Energy.
Our ENEOS Yokohama Tsunashima Hydrogen Station features a showroom for sharing various forms of information on hydrogen called Suiso Terrace, where active efforts are now taking place to raise awareness about the growth of hydrogen.
Moving forward, JXTG Nippon Oil & Energy will leverage its long-standing infrastructure and expertise in the provision of automotive fuel to build a streamlined hydrogen supply chain in Japan, thereby contributing to the realization of a hydrogen society.

Hydrogen Manufacturing and Shipment Center (Naka Ward, Yokohama City)
Yokohama Tsunashima Hydrogen Station and Suiso Terrace
Interior of Suiso Terrace

Increasing Crude Oil Production and Reducing CO2 through CO2-EOR (Enhanced oil recovery)

JX Nippon Oil & Gas Exploration is participating in a CO2-EOR project that utilizes cutting-edge technology to reduce CO2 emissions, a cause of global warming.
CO2-EOR refers to injecting CO2 into depleted oil reservoirs, thereby improving oil recovery and storing the injected CO2 securely underground, thus reducing CO2 emissions in the air.
In July 2014 JX Nippon Oil & Gas Exploration launched a project in the United States to build and operate a commercial-scale carbon-capture system that collects CO2 from the flue gas of a thermal power plant. The captured CO2 can then be injected into an oil field to increase oil recovery and the CO2 is stored in the oil reservoir instead of being emitted into the air.
The world's largest post-combustion carbon capture facility has been constructed at NRG Energy's WA Parish power plant southwest of Houston, Texas. The captured CO2 is transported through a 130-kilometer pipeline and injected into the West Ranch oil field,* where it is expected to increase the field's output.
This is a epoch-making project set to revitalize legacy oil fields while reducing greenhouse gas emissions from thermal power plants, and yet it is specifically advanced that commercialization of the project has been brought by utilization of gas emisssions from a thermal power station. As of February 2018, the project had captured a cumulative total of 1.2 million tons of CO2.

  • *JX Nippon Oil & Gas Exploration holds a 25% interest in the West Ranch oil field.
CO2 recovery plant
Project Map

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